FROM ALL OF US AT TOTAL FARM MARKETING, HAVE A HAPPY AND PROSPEROUS NEW YEAR!

WEDNESDAY, DECEMBER 31: The CME has regular trading hours, and Total Farm Marketing offices will close at 3:00 p.m. (CT).

THURSDAY, JANUARY 1: The CME and Total Farm Marketing offices are closed.

CORN HIGHLIGHTS:

• Selling pressure in the other grain markets weighed on corn futures into the close as the corn market finished 2025 with slight losses. The March contract settled ¼ cent lower to 440 ¼, while May futures slipped ¼ cents lower to 448 ¼.
• Export demand remains supportive. USDA reported weekly export sales for the week ended December 18 at 2.202 mmt (86.7 mb), with Mexico the largest buyer
• Total corn exports sales for the current marketing year have reached 1.960 bb, up 31% from last year and exceeding the pace to reach the USDA marketing year target by nearly 300 mb.
• Ethanol production for the week ending December 26 reached 1.120 million barrels/day. Corn used for ethanol production last week totaled 109.8 mb. This total is slightly below the pace to reach the USDA target for the marketing year.
• The corn market will be looking toward to the January 12 WASDE and Crop Production report. This will be the last Crop Production report where the USDA can adjust yield estimates until the September Grain Stocks report. Overall trade could remain quiet and choppy until that report.

SOYBEAN HIGHLIGHTS:

• Soybeans ended the trading year lower, with March futures settling at their lowest level since mid-October. Weakness in both meal and oil added pressure, while continued favorable South American weather weighed on sentiment. January soybeans fell 15¾ cents to 1030-1/2, and March lost 14¾ cents to 1047-1/2. January meal declined $2.20 to $294.50, while soybean oil fell 0.86 cents to 48.07.
• Heavy deliveries against January futures—totaling 1,062 contracts with no commercial stoppers—added to selling pressure and appeared to accelerate long liquidation by managed funds.
• In Wednesday morning’s export sales report, soybean sales for the week ended December 18 totaled 38.8 million bushels, marking the lowest weekly volume in more than a month. Shipments came in at 33.8 mb.
• Total soybean commitments now stand at 986 mb, with the year-over-year pace improving slightly on the week but still running 32% behind the 2024–25 pace as of mid-December.
• The CFTC will release the newest update of fund positioning later this afternoon. The funds are currently estimated to be holding about a 100,000-contract long position.

WHEAT HIGHLIGHTS:

• Wheat finished the session in the red. The weakness in all three U.S. futures classes was driven by the sharply lower soybean market, as well as seemingly ample global supply. March Chicago lost 3-3/4 cents to 507, Kansas City was down 7-1/4 at 514-3/4, and MIAX slipped 4-1/2 to 574.
• From a longer-term perspective, a potentially weaker U.S. dollar in 2026—should the Federal Reserve continue cutting interest rates—could improve the competitiveness of U.S. wheat on the global market.
• Above-normal temperatures across the Southern Plains continue to weigh on KC wheat. While warm conditions reduce winterkill risk for now, they may also push crops out of dormancy, leaving them more vulnerable if colder weather returns.
• According to the Buenos Aires Grain Exchange, Argentina’s 25/26 wheat crop is now estimated at 27.8 mmt, an increase of 0.7 mmt from their last estimate. Continued high yields are cited as the reason for the increase, as their harvest is reported to be nearly 93% complete. If this total is realized, it would surpass the previous record of 22.4 mmt.

DAIRY HIGHLIGHTS:

• Class III milk futures continued their decline, with January falling 20 cents to settle at $15.22 and February dropping 26 cents to close at $15.60.
• Class IV milk futures were mostly unchanged today, with January and February holding steady at $13.77 and $13.87, respectively.
• In the spot markets, cheese fell 0.50 cents to close at $1.3875/lb, while whey gained 0.50 cents to settle at $0.7350/lb.
• In the spot markets, butter fell 0.50 cents to close at $1.400/lb, while nonfat dry milk (powder) remained unchanged at $1.1750/lb.
• The December settlements closed with Class III at $15.86 and Class IV at $13.64.

Total Farm Marketing and TFM refer to Stewart-Peterson Group Inc., Stewart-Peterson Inc., and SP Risk Services LLC. Stewart-Peterson Group Inc. is registered with the Commodity Futures Trading Commission (CFTC) as an introducing broker and is a member of the National Futures Association. Stewart-Peterson Inc. is a publishing company. SP Risk Services LLC is an insurance agency. A customer may have relationships with all three companies. TFM Market Updates is a service of Stewart-Peterson Inc. Futures and options trading involve significant risk of loss and may not be suitable for everyone. Therefore, carefully consider whether such trading is suitable for you in light of your financial condition.

Author

Amanda Brill